Servotech Power Systems reports stellar Q1 FY24 results with 10-fold PAT increase
Servotech Power Systems, an India-based manufacturer of solar, electric vehicle (EV) chargers, and other power solutions, announced remarkable Q1 FY24 financial results, demonstrating an impressive 148.9% increase in revenue from operations, and a 415.3% YoY growth in EBITDA. The figures were announced at the company’s Board of Directors meeting held on July 21, 2023.
In Q1 FY24, the company’s total revenue rose to Rs. 79.8 Crs, up from Rs. 32.1 Crs in Q1 FY23, representing an extraordinary YoY growth of 148.9%. This increase is largely attributed to the robust demand for Servotech’s EV products, spurred by the increasing adoption of electric vehicles and the government’s persistent efforts to build a solid charging infrastructure network. Moreover, the company’s solar product range has consistently experienced strong demand due to its functional design, durability, and user-friendly features.
In terms of EBITDA, there was a remarkable YoY increase of 415.3%, rising from ₹1.4 Crs in Q1 FY23 to ₹7.1 Crs in Q1 FY24. This significant growth improved margins from 4.3% in Q1 FY23 to 8.9% in Q1 FY24, primarily due to the expanding scale of operations and the introduction of higher value products. Meanwhile, the net PAT reached ₹4.1 Crs in Q1 FY24, up from ₹0.4 Crs in Q1 FY23. As a result, margins improved from 1.1% in Q1 FY23 to 5.1% in Q1 FY24.
Raman Bhatia, Managing Director of Servotech Power Systems Ltd., remarked, “We experienced remarkable expansion, primarily driven by the introduction of cutting-edge technology-driven solutions in the electric vehicle (EV) and solar sectors. We are delighted to announce that we maintain a strong position as a key player in the sustainable energy industry, boasting ~25% market share in the EV charging solutions segment. Moreover, our solar solutions, known for their easy installation, cost-effectiveness, and dependability, have gained significant momentum in the market, largely due to the enthusiastic adoption by our targeted customer base.”